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Will Truckers Ditch Diesel?

Surplus of Natural Gas Prompts Some Fleets to Switch; Lack of Fueling Stations

Waste Management devised a strategy to save money on diesel-fuel costs: it is buying trucks that will run on cheaper natural gas. Leslie Eaton has details on The News Hub. Photo: Alison Yin for the Wall Street Journal.

By

Rebecca Smith

Updated May 23, 2012 8:16 p.m. ET

Rising diesel costs last year forced Waste Management Inc. to charge customers an extra $169 million, just to keep its garbage trucks fueled. This year, the nation's biggest trash hauler has a new defensive strategy: it is buying trucks that will run on cheaper natural gas.

In fact, the company says 80% of the trucks it purchases during the next five years will be fueled by natural gas. Though the vehicles cost about $30,000 more than conventional diesel models, each will save $27,000-a-year or more in fuel, says Eric Woods,...